USA: RailAmerica completed the $24m acquisition of Atlas Railroad Construction Co on July 1. RailAmerica President & CEO John Giles said the deal would enable the short line operator to benefit from an expected increase in infrastructure spending as part of rail upgrading and government stimulus programmes.
Founded in 1954, Pennsylvania-based Atlas provides construction and maintenance services to transport agencies, industrial customers, short lines and regional railways in the midwest and northeast USA. RailAmerica will retain the Atlas brand, and estimates Atlas will generate revenue of $25m over the next 12 months.
'With this transaction, we have started to implement our acquisition strategy, a key corporate priority that complements our organic growth', said Giles. 'We continue to work to identify additional value-creating opportunities.'